Is the application of Iowa law in the B Bops Franchise Agreement subject to any other state laws?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
NOTES:
- 1 With respect to Franchises governed by Minnesota law, the Company will comply with Minnesota Statutes Section 80C.14, subdivisions 3, 4 and 5 which require, except in certain specified cases, that you be given ninety (90) days notice of termination (with sixty (60) days to cure) and one hundred eighty days (180) days notice for non-renewal of the Franchise Agreement.
- 2 Pursuant to Minnesota Statutes Section 80C.21 and Minnesota Rule Part 2860.4400J, these provisions shall not in any way abrogate or reduce any of your rights as provided for in Minnesota Statutes, Chapter 80C.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 40–49)
What This Means (2025 FDD)
According to the 2025 B Bops Franchise Disclosure Document, the application of Iowa law is subject to other state laws. Specifically, for franchises governed by Minnesota law, B Bops will adhere to Minnesota Statutes Section 80C.14, subdivisions 3, 4, and 5. These statutes mandate that, except in certain cases, franchisees receive ninety (90) days' notice of termination (with sixty (60) days to cure) and one hundred eighty (180) days' notice for non-renewal of the Franchise Agreement.
Furthermore, Minnesota Statutes Section 80C.21 and Minnesota Rule Part 2860.4400J clarify that the choice of law and forum provisions in the B Bops franchise agreement do not diminish any rights provided under Minnesota Statutes, Chapter 80C. This means that while the agreement specifies Iowa law, Minnesota franchisees retain all protections granted to them by Minnesota law.
This is a fairly common practice in franchising, as state franchise laws are designed to protect franchisees. The B Bops FDD acknowledges that federal and state laws may override certain provisions in the franchise agreement to ensure franchisees are not waiving rights granted to them by law. Prospective franchisees should consult with an attorney to understand how these provisions may affect them, particularly if they are considering a B Bops franchise in a state other than Iowa.